Neom awards contracts for one of the largest transportation and utility infrastructure projects in the world

Two joint venture groups awarded contracts to undertake the construction of two 28km long tunnels

Neom has awarded drill and blast tunnelling contracts for work on infrastructure, which is considered to be one of the largest transportation and utility infrastructure projects in the world. It is also considered an essential element in ensuring that the Saudi megaproject continues to meet its development schedule.

In a statement, Neom said that two joint venture (JV) groups will undertake the project, which is separated by lower and upper geographies. The first contract was awarded to FCC Construction/China State Construction Engineering Corporation/Shibh Al-Jazira Contracting Company Joint Venture (FCC/CSCEC/SAJCO JV); while the second contract went to a JV between Samsung C&T Corporation /Hyundai Engineering and Construction Co. Ltd/Saudi Archirodon Company (SHAJV).

Commenting on the contract awards, Nadhmi Al-Nasr, CEO of Neom, said: “Today marks yet another significant milestone for Neom. The sheer scope and scale of the tunneling work to be undertaken highlights the complexity and ambition of the project. We are moving forward to achieve Neom’s vision of the new future, which has been established by His Royal Highness Mohammed bin Salman, Crown Prince and Chairman of the Neom Company Board of Directors.

“At Neom, we are inspiring a new way of living, making seamless mobility possible, reducing emissions and protecting our environment. We are not only making a giant leap for the Kingdom of Saudi Arabia, but we are also establishing a model for sustainable living around the world.”

The tunnel works will provide over 28km in length and provide separate tunnels for high-speed and freight rail services – making the movement of people and goods faster, safer and easier, the statement said.

It added that the rock excavated as part of this tunnelling project will be processed for subsequent reuse within the permanent concrete lining of the tunnels, and other projects within Neom to ensure minimal impact to the surrounding natural landscapes.

In March 2022, Neom launched a new subsidiary to develop sustainable energy and water systems, and in April 2022, Acwa Power announced a $900mn EPC contract win for the Neom Green Hydrogen Project. In May 2022, Neom and Saudia unveiled plans to kick off weekly air service to international destinations.

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